This invention relates to credit cards, and more particularly to credit cards having an additional code to verify the authenticity of the user of the card.
The use of credit cards has become commonplace among purchasers. Banks or credit companies issuing the cards generally provide on each card a specific identification number assigned to the particular card owner. The cards usually also include the name of the card owner, and other information such as the expiration date, the day of joining the credit plan, etc.
When presented with a credit card, a vendor initially verifies that the credit card number is rightfully assigned to the name on the card and also checks on the limit of credit of that particular card. This checking can be done manually by means of comparing same against a list, or by telephoning a control checking agency and reading the credit card I.D. number to an operator who checks the number at the central agency. Automatic verification equipment is also available for automatically reading the credit card I.D. number, and through telephone lines transmitting the number, whereas computerized check is made of the credit card I.D. number.
Upon receiving authorization to proceed with the sale, the vendor then inserts the card into an imprinting machine where the numbers on the credit card are imprinted onto a sales slip. The credit card user will then sign the sales slip, and the signature is checked with the user's or owner's signature on the back of the credit card. The user is given one copy of the sales slip while the other copies are retained by the vendor for his records and for transferring to the credit card company for payment thereof.
Since numerous copies of the sales slip are required, the sales slip is usually a multi-part form having carbon paper between the various parts. The credit card I.D. number and the user's name are generally formed of raised letters, and the imprinting machine causes the information to be imprinted onto the multi-part sales slip. When the parts of the sales slip are then separated, the carbon paper contains an imprint of the credit card user's name and number. In many cases, it will also contain a copy of the signature of the credit card user.
Although the carbon paper is intended to be discarded, it has been found that some people obtain the discarded carbon paper and wrongfully utulize the information to imprint counterfeit credit cards. By transferring the card number and the name of the credit card owner, and by knowing the user's signature, an unauthorized person can present a counterfeit credit card, and since the number is properly associated with the corresponding name, when a vendor checks the card, it will check out properly without detection.
In addition to gaining the credit card information from the discarded carbon paper, unauthorized individuals can also gain this information from other sources. For example, lending a credit card will provide other individuals with this information. Vendors can also gain this information directly from the sales slips. Likewise, waiters, repairmen, or anyone else having custody of or access to the credit card will be able to make an imprint of the card and obtain all of the information in order to fabricate a counterfeit card.
Accordingly, there is a need for providing an additional level of security for credit cards in order to be sure that the user or the individual presenting the credit card is actually authorized to do so either by being the owner himself, or through authorization from the owner.